return icon

Vietnamese stock market's publicity and transparency improved

It is believed that the enhancement will help shore up investor confidence in the Vietanmese stock market after recent scandals.

Pham Hong Son, vice chairman of SSC, delivered a speech at the event on Tuesday in Ha Noi. — Photo courtesy of JICA

The capacity of the State Securities Commission (SSC) and three stock exchanges in market management and supervision has been enhanced as a result of a collaboration project with the Japan International Cooperation Agency (JICA), an SSC leader said on Tuesday.

From April 2019 to March 2023, the technical cooperation project “Capacity Building on Improving Fairness and Transparency of Vietnamese Equity Market” aims at ensuring publicity and transparency, strengthening market surveillance and inspection, supervision of market intermediaries, listing and public offerings in line with international standards, and raising awareness on investor protection among listed companies.

With the intention to cooperate with counterparts to develop the best practices for the stock market, the project conducted a detailed initial survey on the Vietnamese market, grasped issues and directions for their solutions, and then implemented training programs, consultations, and seminars.

Thanks to that, SSC has basically achieved the set targets, Pham Hong Son, Vice Chairman of SSC, said at a discussion platform on the Strategy for Development of Viet Nam’s Securities Market 2021-2030 held on Tuesday morning in Ha Noi.

"SSC and stock exchanges’ capacity in market management and supervision has been enhanced, improving the fairness and transparency of the Vietnamese stock market and protecting investors from market volatility," Son said.

The number of new securities accounts doubled, while foreign investors net bought strongly in the last months of the year. This showed the growing appeal of the country’s stock market at home and in the international markets, he added.

The results helped realise the strategy for development of Viet Nam’s stock market during 2011 - 2020 and the socio-economic development plans set out by the Government.

Speaking at the event, Shimizu Akira, chief representative of JICA Vietnam Office, said that the country’s stock market has grown strongly since Viet Nam opened. The market capitalisation value at the end of 2020 exceeded US$180 billion, while the interest of foreign investors, including Japanese investors, is increasing.

As the stock market is a crucial channel for capital mobilisation, the Government has recognised the importance of improving the fairness and transparency of the market.

Thanks to that, the Government has made efforts and accelerated solution implementation, such as by issuing the amendment to the Securities Law and establishing the Viet Nam Stock Exchange.

The project is believed to help shore up investor confidence in the Vietanmese stock market after recent scandals.

"I believe that promoting the application of measures to supervise the market, supervise securities companies, improve the management of public offerings and listing of securities, and enhance public awareness on investor protection, which is proposed by this project, will help rebuild the confidence of domestic investors. In fact, the Strategy for Development of Viet Nam’s Securities Market 2021-2030 has integrated many solutions recommended by this project," Kojima Kazunobu, JICA consultant, told Viet Nam News

Following the successes, Viet Nam begins a new phrase for the stock market’s growth, targeting new goals of the Strategy for Development of Viet Nam’s Securities Market 2021-2030, said the leader of SSC.

Accordingly, SSC aims to expand the size of the stock market capitalisation, increase the bond market debt, and achieve an average of 20-30 per cent growth a year for the derivatives market.

The strategy also plans to increase the number of investor accounts and develop institutional investors, professional securities investors, and foreign investors.

The quality of listed companies management and ESG (environment - society - governance) standards application at the stock exchanges and the Vietnam Securities Depository and Clearing Corporation (VDSC) towards sustainable development are new targets for the domestic market’s growth, said Vu Chi Dung, director general of the International Cooperation Department under SSC. — VNS


Achilles heel in tourism

Vietnam’s tourism industry has made only meager strides in diversifying its products despite years of growth.

The most addictive dish on Ha Giang plateau

Ha Giang attracts tourists not only for its majestic natural landscape and honest ethnic people but also for its bold, regional specialties that cannot be found anywhere else.

Liquidity needs to be ensured: Central bank

The Governor of the State Bank of Vietnam (SBV) sent important messages about monetary policies at a meeting with businesses held by SBV and HCM City People’s Committee late last week.

Firms hesitate to access loans due to weak consumption demand

The State Bank of Vietnam last week cut its policy rates for the third time this year to prop up economic growth.

Banks experience significant increases in non-performing loans

Given the challenging economic environment, the performance of numerous banks is rather bleak, particularly due to the mounting bad debt levels.


Work on Cat Bi Airport’s Terminal T2 to start in Q4

Vietnam should consider announcing the end of COVID-19: NA deputy

At the ongoing fifth session of the 15th National Assembly (NA) held on May 29, Nguyen Lan Hieu of the NA Delegation of Binh Dinh province suggested that the end of COVID-19 should be announced.

Cut on automobile registration fees to facilitate auto industry

The Ministry of Industry and Trade supporting the reduction of automobile registration fees is considered a positive effect to the auto industry in the context of the automobile market facing many difficulties.


Vietnam leaves good impressions at multi-ethnic festival in Czech Republic

Vietnam to build center for search and rescue in Spratly Islands

Deputy Prime Minister Tran Luu Quang has approved a project to improve the capacity of incident and natural disaster response and search and rescue to 2030, with a vision to 2045.

Male model finishes as third runner-up at World Fitness Supermodel

Ngo Hoang Linh, the Vietnamese representative at World Fitness Supermodel 2023, was awarded the third runner-up title during the male pageant’s grand final held on May 27 in Thailand.

Old Vietnamese publications in romanised script on display in Paris

An exhibition showcasing old Vietnamese publications in Chu Quoc ngu (romanised Vietnamese script) is underway in Paris, France.

HCMC police raze black-credit companies with illicit profits of over US$176mln

The Ho Chi Minh City Department of Public Security yesterday prosecuted nine people for usury in civil transactions.

Entertainment and cultural events of the week (May 29-June 4/2023)

Upcoming entertainment and cultural events in Vietnam's major cities on May 29-June 4.

More cooperation needed to develop rare earth industry in Vietnam

The applications for rare-earth element products have developed strongly in recent decades, especially in the field of agriculture in which they are used to create clean, safe, and effective agricultural products.